DETERMINING SPACE UTILIZATION
A Big 4 accounting firm, one of the 10 largest private US-based companies with branches in more than 100 countries, needed to know how it was using 30 floors at its New York City headquarters. The firm suspected that space was often forgotten, abandoned, or reserved as a contingency plan.
The firm used software that allowed the hundreds of employees visiting headquarters everyday to book temporary office space for hoteling. However, the software provided no visibility into whether the booked space was used as planned or at all. In general, the firm lacked critical information about their actual space utilization.
INSIGHT INTO SPACE UTILIZATION REDUCES REAL ESTATE COSTS
After selecting and implementing EMS Software, the firm began capturing actual office attendance. Using the check-in and reporting capabilities in EMS, the firm was able to compare bookings to actual use to determine true utilization rates.
The results revealed that only 49% of assigned offices were being used, while transient employees used only 67% of the hoteling space — leaving 1,665 workspaces vacant daily.
With this insight, the firm was able to reduce its real estate costs. It vacated six floors and sublet three for a savings of $85 million over five years. Furthermore, real estate moved from the firm’s second largest expense to its third.
With 695 offices around the world, the firm continues to drive efficient use of its 21 million square feet of space. By expanding its use of EMS, the firm expects to save an additional $97 million over the next five years — translating to about $36 million in annual real estate savings.
ABOUT BIG 4 ACCOUNTING FIRM
One of the largest private companies in the United States, this Big 4 accounting firm has 4,500 employees at its New York City headquarters. The firm has large real estate investments in most of the world’s most expensive metropolitan areas.